Rising Brent crude prices above $100 per barrel have triggered a $3.2 billion sell-off in Indian assets, reversing a four-month streak of net inflows and putting upward pressure on local bond yields.
Oil prices rallying above $100 per barrel Brent is driving foreign investors to pull money from Indian markets.
Foreign investors pulling $3.2 billion from Indian stock markets is likely to pressure Indian equity indices.
Foreign investors pulling money from Indian bond markets is likely to put upward pressure on yields.
Foreign investors have withdrawn $3.2 billion from Indian equity and bond markets, marking the sharpest exodus since March. The capital flight follows a renewed rally in Brent crude oil prices above $100 per barrel, which has reignited concerns over inflationary pressures and supply chain stability in the region.
The withdrawal is driven by the rally in Brent crude oil prices above $100 per barrel, which increases inflationary risks and dampens investor appetite for emerging market assets like those in India.